Rates:
Well, as much as I would of liked to see Greece Default, it looks like the EU and the IMF have come to the rescue of Greece and bailed them out. Although the citizen of Greece are going to probably burn the island down.
Buy taking Greece out of the PIIGS equation, things are looking better for the EU, which means investors are selling US Bonds, thus causing rates to go back up.
So lets look at the rest of the Economic News for the week:
-Oil continues to slide, down to $95/barrel. Which is a god send, this might ease up consumers again and have them start spending.
-Case/Shiller index was down only 0.1% from March to April, getting closer to that Zero mark, and Y/Y only down 4.0%. So not great news, but not bad news and the negative numbers keep getting closer to positive numbers each month.
-Consumer confidence was down to 58.5 from a 60.7 last month. Remember we don't want to see below 50 on this one.
-NAR reported pending home sales jumped to 8.2% and Y/Y we are up 13.4%
-Weekly jobless claims were pretty much no movement.
-Chicago PMI, expected to be 53.8 was up 61.1, a pretty good sign!
So what the heck did all this mean. Well in a nut shell, Greece is Good, and the economic reports all point to recovery, albeit VERY, VERY slow. So that caused investors to take money out of bonds and into Stocks.
You can see by the 10 year week chart above, that rates continued to rise all this week, which caused mortgage rates to actually go up between .125 to .25 of a point. Still in the Low 4's but ticking and heading towards the low 4.5'
Next week is the big boy, Friday we will see unemployment numbers come out. I suspect we will see very low volatility and not much movement. And any movement will be an increase in rates.
But Friday, we will see unemployment come out. After last months numbers, most investors are concern, and if we see another number similar to last months, it will not be pretty, because then we will see 2 months of very minor growth. And we should see June's number be higher because of summer hiring.
Good numbers and I for see rates ticking up .25 to .375, and entrench themselves in the 4.50-4.625% range. But with bad or slow numbes, I feel we could test the 10 year's 2.90% mark again.
Federal Tax Credit for 1st Time Home Buyers!
Yes Georgia, there is a Santa Clause....
IHA has had the mortgage tax credit for quite some time, basically a buyer can get up to $2000 per year for 10 years tax credit on their income taxes!!!!
I really can't figure out why people have not been singing this from the roof or more advertising has not been done about this program. But is is available, NOW!
Check out the LINK HERE for more information!
Down payment Assistance!
Did you know, any client with a 680 FICO score or higher can get Down payment Assistance, to cover up to 3.5% of their down payment!
So that would mean going FHA, a person would only have to bring in $500.
IHA Good Credit Reward program can fulfill the dream of 100% financing!
Check out the LINK HERE for more information!
Manufactured Housing
In a sign of the times, I have found a lender that will loan on Manufacture Housing at 96.5%, FHA. Most lenders are only going 80%, but I have a new lender willing to do this type of housing with only 3.5% down!
FICO scores, down to 620
Double Wide
Built after June 1976
Call for more Details!
New MLS/Idaho RE Forms
As of today, don't forget for al lyour RE agents out there, there are new Idaho Real Estate Forms!